HR is responsible for key systems and processes which can underpin effective delivery of messages the organization wishes to convey about ethics. Through HR, ethics can be given credibility and aligned with how businesses run. With their expertise in change management and internal communications, and by working in partnership with those responsible for ethical performance within their organization, HR can help to integrate ethics into processes such as the employer brand, recruitment, induction, appraisal, retention, motivation, reward, diversity, coaching and training.
1. Employment Issues
HR
professionals are likely to face maximum ethical dilemmas in the areas of
hiring of employees. Major challenges in
this area are:
- Pressure
to hire a friend or relative of a highly placed executive.
- Faked
credentials submitted by a job applicant.
- Discovery
that an employee who has been with the organization for some time, is skilled
and has established a successful record, had lied about his educational
credentials.
2. Cash and Incentive Plans
Cash
and incentive plans include issues like basic salaries, annual increments or
incentives, executive perquisites and long term incentive plans.
Basic Salaries
HR
managers have to justify a higher level of basic salaries or higher level of
percentage increase than the competitors to retain some employees. In some
companies, where the increase is larger than normal they have to elevate some
positions to higher grades. Annual increment/incentive Plans. This situation is
particularly true in case of top management executives. The fear of losing some
outstanding executives, the HR managers is forced to give higher incentives to
them than what the individuals actually deserve.
Executive Perquisites
In
the name of executive perquisites, sometimes excesses are often committed, the
ethical problem of which falls on the HR managers. Sometimes the costs of these
advantages are out of proportion to the value added.
Long
term incentive Plans. Long term incentive plans are to be drawn by the HR
managers in consultation with the CEO and an external consultant. Ethical
issues arise when the HR manager is put to pressure to favor top executive
interests over the interests of the other employees and the investors.
3. Performance Appraisal
Ethics should be the basis of performance evaluation. Highly ethical performance appraisal demands that there should be an honest assessment of the performance and steps should be taken to improve the effectiveness of employees. However, HR managers, sometimes, face the dilemma of assigning higher rates to employees who are not deserving them; based on some unrelated factors eg. Closeness to the top management. Some employees are, however, given low rates, despite their excellent performance on the basis of factor like caste, religion or not being loyal to the appraiser.
4. Privacy
The
private life of an employee which is not affecting his professional life should
be free from intrusive and unwarranted actions.
5. Safety and Health
Industrial
work is often hazardous to the safety and health of the employees. Legislation
have been created making it mandatory on the organizations and managers to
compensate the victims of occupational hazards. Ethical dilemmas of HR managers
arise when the justice is denied to the victims by the organization.
Conclusion
HR
professionals have a central role in supporting a workplace culture where
‘doing the right thing’ is encouraged. Human Resources Departments are the main
point of contact for all staff within an organization and as such have unique
access to staff throughout their career, from induction training to exit
interviews. A company-wide ethical culture, where ‘doing the right thing’ is
just part of the way business is done, will not be achieved unless HR and
Ethics professionals make their relationship work.
References
indiafreenotes.
(2020). Ethics in HRM. [online] Available at: https://indiafreenotes.com/ethics-in-hrm/
[Accessed 8 Dec. 2021].
Ethics and HR Departments need to
work together | Reuters Events | Sustainable Business. [online] Available at https://www.reutersevents.com/sustainability/people-careers/ethics-and-hr-departments-need-work-together.
Your Article Library. (2015). 7
Ethical Issues Faced by Human Resource. [online] Available at:
https://www.yourarticlelibrary.com/business/ethics/7-ethical-issues-faced-by-human-resource/64101.
Very good article and Nicely explained. Also Some of the major issues an organization deals with is handling ethical challenges in workforce diversity.
ReplyDeleteThe perception of ethical behavior can increase employee performance, job satisfaction, organizational commitment, trust and organizational citizenship behaviors, this should be identified and need to mitigate.
DeleteInteresting article and well explain Hr facing Ethics issues and how can support to work place Thanks for shearing
ReplyDeleteIt's an HR professional's responsibility to maintain ethical integrity when supporting leaders with any business decisions that affect people. Thank you..
DeleteOrganizations must be careful while dealing with employees who are with emotional value is highly appreciated. Ethics are very important from the beginning.
ReplyDeleteHuman resource managers try to recruit candidates who fit the corporate culture. They need to be mindful of diversity and similar opportunities as well as traditional and legal hiring practices.(tutorialpoint,2021)
Yes, these conflicts are sometimes legally dangerous, since some of the alternatives to solve the issue might breach a particular law.
DeleteGood article to read. It's very carefully explaining each and every points regarding the topic. very good for improve the learning for non HR peoples.
ReplyDeleteYes, employees who are ethically positive, honest, hardworking, and driven by principles of fairness and decency in the workplace, increases the overall morale and enhances the performance of an organization. A company that has established behavioral policies can improve its reputation and help ensure its long-term success.
DeleteThe last several months have been unprecedented, and businesses that are reopening will have difficult decisions in order to adjust to the pandemic reality. Employers must slow down, consider the whole human repercussions of their acts, and recall empathy as much as possible, as with any response to an ethical dilemma. Businesses may emerge out of the pandemic with stronger relationships with workers by displaying smart ethical acts when the stakes are the highest.
ReplyDeleteVery true, COVID-19 was a stress test for ethical cultures and ethics and compliance programmes, companies’ ethical cultures and frameworks acted as real world moral compasses.
DeleteWhatever you have listed down and explained are the true factors that the HR team has to face day today. and you have explained and listed down everything in order. A good piece of thinking. Just to add a small idea, I think if the company has an ethical culture with transparency on the main area such as salary/promotion/increments/recruitment Etc... Most of the issues will be over. Thank you!
ReplyDelete